Police in Mumbai's Kandivli have initiated legal action against the director of a private firm, accusing him of orchestrating a sophisticated share fraud that collectively swindled Rs 18.34 lakh from fifteen individuals. Among the victims is a 63-year-old senior citizen from Ghatkopar, highlighting the scam's wide reach.
The Modus Operandi: A Promise of Cheap Shares
The case came to light after the primary complainant, a medical salesman by profession, was approached in May 2024. An acquaintance introduced him to the accused, who presented himself as the director of a company based in Mahavir Nagar, Kandivli. The director claimed to hold a large volume of shares in a reputed hand tools manufacturing company and offered to sell them at an enticingly low rate of Rs 4 per share.
Assured of substantial profits, the complainant contacted the accused directly. He learned that shares worth Rs 18 lakh were available for purchase. Seeing an opportunity, the complainant gathered a group of fourteen other interested buyers. They devised a plan where all fourteen would pool their money into the complainant's bank account, who would then make a single lump-sum payment to the accused.
The Transfer of Funds and False Assurance
Between May and June 2024, the group deposited a total of Rs 13.07 lakh into the complainant's account. The complainant added Rs 2.10 lakh from his personal savings and transferred the combined sum of Rs 15.17 lakh to the accused. Subsequently, four more buyers came forward and directly transferred another Rs 3.17 lakh to the accused's account.
To build trust and legitimacy, the accused provided the buyers with what appeared to be an "NSDL statement" proving his possession of the shares. He also gave them a stamped bond paper of Rs 100 that guaranteed the transfer of shares into their names once the payment was completed.
The Unraveling of the Scam and Police Action
The scheme began to collapse when the accused later informed the buyers that the "NSDL had frozen his account." Growing suspicious, the group conducted their own inquiries with the relevant authorities. Their investigation revealed a shocking truth: the accused did not possess any such shares he had promised to sell.
Following this discovery, the aggrieved buyers first sent a legal notice to the accused. When that failed to yield results, they approached the Kandivli police station and lodged a formal complaint. Based on their allegations, the police have now registered a First Information Report (FIR) and are conducting a thorough investigation into the matter.
This case serves as a stark reminder for investors to exercise extreme caution and verify the authenticity of share offerings, especially those promising unusually high returns at low prices. The police are investigating further to uncover the full extent of the fraud.
